In the Short Run

question 103

Multiple Choice

In the short run

• A)monetary expansion causes the CA to increase & fiscal expansion causes the CA to decrease.
• B)monetary expansion causes the CA to decrease & fiscal expansion causes the CA to decrease.
• C)monetary expansion causes the CA to increase & fiscal expansion causes the CA to increase.
• D)monetary expansion causes the CA to decrease & fiscal expansion causes the CA to increase.
• E)monetary expansion causes the CA to increase & the effects of fiscal expansion are ambiguous.

Identify dominant strategies in various game setups.

Recognize conditions for Nash equilibria in pure and mixed strategies.

Analyze the strategic interactions in different scenarios including public goods provision and pollution control.

Evaluate the outcomes of games in terms of payoffs and strategic choices.

---

Definitions:

Common Stock

This refers to shares of ownership in a corporation, giving holders voting rights and a share in the company's profits via dividends.

Total Stockholders' Equity

The total amount of assets remaining in a company after all liabilities have been subtracted, representing the ownership interest of the shareholders.

Common Stock

Shares representing ownership in a corporation, giving holders voting rights and a share in the company's profits through dividends.

Price-Earnings Ratio

A valuation ratio of a company's current share price compared to its per-share earnings, used to evaluate whether a stock is over or undervalued.